Embracer Group to Split into Three Companies

Embracer group to split into three entities
In Short
  • Embracer Group announced they'll create three separate entities focusing on particular works.
  • Asmodee Group will control the table-top IPs under the Embracer Group, while Coffee Stain & Friends will handle the free-to-play and smaller budget titles.
  • Middle Earth Group & Friends will include all the big-budget studios, including PLAOIN, 4A Games, Dambuster Studios, Eidos Montreal, and Crystal Dynamics.

Every gamer under the sun knows about the Embracer Group. You know, the people responsible for the mass layoff and split of multiple studios throughout 2023 and the better half of 2024. And, while I’d generally type about how they’ve laid off yet another studio, this time, it’s different.

Through an official press release, Embracer Group announces that it is making three split groups of market-leading games and entertainment companies. They are named Asmodee Group, “Coffee Stain & Friends”, and “Middle-earth Enterprises & Friends.” The three groups will further house various studios under the Embracer group.

Asmodee Group will mostly focus on table-top games like Ticket to Ride, 7 Wonders, Azul, CATAN, etc. Coffee Stain & Friends will focus on smaller budget games and Free-to-Play titles. Under it, studios like Coffee Stain, Ghost Ship, THQ Nordic, Tuxedo Labs, and others will stay.

Finally, Middle-earth Enterprises & Friends will include the bigger-budget studios, including Crystal Dynamics, Dambuster Studios, 4A Games, Eidos-Montreal, The Lord of the Rings franchise, PLAOIN, Dark Horse, etc.

Honestly, those are some weird choices when choosing names. I can get behind Coffee Stain becoming the face of AA-publishing efforts. Picking Middle Earth to represent studios that have consistently published successful titles is weird.

Furthermore, this Embracer Group split has caused confusion, as the new subsidiaries contain the names of studios and IPs well-known among gaming audiences.

So now, gamers are confused about which company is going under which division, especially when your company name is “Coffee Stain & Friends,” a publishing arm well-known for developing hits like Goat Simulator and Satisfactory and publishing titles like Deep Rock Galactic and Valheim.

Regardless, it seems, for now, things are quiet at the Embracer camp. For how long is something we are yet to see? And, for once, I’m glad I don’t have to report about another studio layoff. Are you fine with this change ? Let us know in the comments below.

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